XPeng to Build Third Overseas EV Plant in Malaysia by 2026

XPeng Expands Global Footprint

BEIJING — December 15, 2025 — XPeng Motors, one of China’s leading electric vehicle manufacturers, announced a partnership with Malaysia’s EPMB Group to establish a localized EV production facility in Malaysia. This marks XPeng’s third overseas manufacturing project, following similar initiatives in Indonesia and Austria, reinforcing the company’s vision to become a truly global automaker.

The Malaysia plant is scheduled to begin production in 2026, focusing on right-hand-drive (RHD) vehicles tailored for Southeast Asian consumers. The move highlights XPeng’s strategy to localize manufacturing rather than relying solely on vehicle exports from China.

With the Malaysia plant, XPeng takes a major step toward accelerating localized EV production in Asia. This demonstrates our long-term commitment to the ASEAN market.

Partnership and Market Goals

The partnership with EPMB Group, a major Malaysian automotive component supplier, aims to develop a modern assembly line capable of producing XPeng’s latest EVs, including the XPeng X9.

According to industry sources, the facility will:

• Support regional RHD markets, including Malaysia, Thailand, and Singapore.
• Shorten logistics chains and reduce shipping costs.
• Enable faster delivery and after-sales response for local customers.

This cooperative model mirrors XPeng’s localization approach in Europe and Indonesia, designed to combine Chinese technology with regional industrial capabilities.

XPeng X9 Leads Market Performance

XPeng’s growing popularity in Malaysia is driven by the success of its flagship X9 MPV, which became the best-selling all-electric MPV in Malaysia in September 2025.

Between January and October 2025, XPeng ranked among the top six EV brands in the country — a remarkable performance for a newcomer brand.

The company also launched the range-extended version of the X9 in China, featuring:

• 800V high-voltage platform
• 5C ultra-fast charging capability
• CLTC range of up to 452 km

These specifications have enhanced XPeng’s reputation for combining performance, technology, and practicality — key factors that appeal to ASEAN buyers.

Building a Regional EV Ecosystem

By establishing a presence in Malaysia, XPeng aims to contribute to the country’s growing EV ecosystem. The government of Malaysia has introduced several policies to encourage EV investment, including tax incentives, battery production support, and charging infrastructure expansion.

XPeng’s entry is expected to:

• Create new local employment opportunities.
• Strengthen Malaysia’s EV supply chain.
• Increase competition and innovation within the region.

Analysts believe this localization trend reflects a broader shift in the Chinese EV industry’s global strategy — moving from export-driven growth toward regional manufacturing integration.

Outlook: From China to the World

XPeng’s decision to localize production in Malaysia signals a new phase of its international roadmap.

With strong performance at home and increasing brand recognition abroad, the company is well-positioned to challenge established players in global EV markets.

As production begins in 2026, XPeng is expected to further solidify its role as a bridge between China’s EV innovation and Southeast Asia’s mobility transformation.